Recently Argentina appointed a new president, Mauricio Macri, who is a member of family-run conglomerate Grupo Macri. It has raised hope that the 57-year-old’s innate understanding of the issues faced by families will result in better conditions for businesses across the board. Among the top three concerns of family businesses in Argentina are (a) the economic policies of the government that have to deal with an inflation rate of 37.6%; (b) a new succession tax rule that charges 10% on all assets above the $300,000 threshold; and (c) rising family conflicts.
As per estimates at least 80% of Argentina’s 1.2 million businesses are privately owned. 60% of family businesses in the country have been established since the 1980s; hence it is not surprising that 48% of the businesses are in their first generation. While the majority of Argentine family businesses are small to medium-sized, there are a number of large players that are recognized around the globe. Among the best known are Techint Group, a leading supplier of tubes and related services for the world’s energy industry, owned by the Rocca family, and Aceitera General Deheza, one of the country’s largest natural food producers, which is owned by the Urquía family.